Army officer loses Rs 31 lakh in online share trading fraud – The Indian Express

According to the police, in July, the complainant received a Whatsapp message from an unidentified number which had a link to join a group. The Whatsapp group had the name of a US-headquartered investment major and members discussed getting profits on stock investments. The members were discussing a particular application that gave them huge profit margins. Sometime after joining the group, the complainant was sent a link of a fraudulent phone-based application, which he downloaded.

Based on the messages sent to him, the complainant started sending specific amounts to the bank accounts as directed. All these fund transfers to fraudulent accounts were reflected as his investments on the phone-based application, which was showing corresponding high gains against the total money sent.

When the complainant tried to withdraw his earnings, he was asked to make a large transfer, which he made. When he tried to withdraw once again, he was again asked to pay more which raised his suspicions. When he again checked the phone-based application, it was not available for download.

He subsequently registered a case on the cyber crime helpline and approached police. An officer from Wanawadi police station said a probe had been initiated in the case.
In a case registered last week, an Army doctor in his 30s lost a staggering Rs 1.2 crore in online share trading fraud to cyber criminals who made him believe that his total earnings were to the tune of Rs 10 crore.

In separate cases of share trading frauds registered with Pune City police in August, a veteran from the Indian Air Force and another from the Indian Navy lost total Rs 1.3 crore in share trading frauds. The two veterans were manipulated into making large transfers to fraudulent accounts after they were added to WhatsApp groups promising high returns on stock investments.

In an advisory issued in this regard on February 26, the Securities and Exchange Board of India (SEBI) said, “Fraudsters are enticing victims through online trading courses, seminars, and mentorship programs in the stock market, leveraging social media platforms like WhatsApp or Telegram, as well as live broadcasts. Posing as employees or affiliates of SEBI-registered Foreign Portfolio Investors, they coax individuals into downloading applications that purportedly allow them to purchase shares, subscribe to IPOs, and enjoy “Institutional account benefits”—all without the need for an official trading or Demat account. These operations often use mobile numbers registered under false names to orchestrate their schemes.”